Saudi Arabia started delaying payments to contractors last year as it sought to rein in a budget deficit that reached about 15 percent of gross domestic product. Photo: ReutersSaudi Arabia is repaying debts to contractors after long delays that squeezed company finances and hurt investor sentiment, according to three people with knowledge of the matter. The world’s biggest oil exporter started delaying payments to contractors last year as it sought to rein in a budget deficit that reached about 15 percent of gross domestic product. The kingdom is undergoing the biggest economic shakeup in its history in an attempt to reduce its reliance on oil. The government aims to raise more than $100 billion in non-oil revenue a year by 2020, through measures including value-added taxation.

Source: Mint October 19, 2016 17:15 UTC